VAT collects 15% of debts

The campaign of the VAT Service to collect the amounts due to the VAT continues at a quick pace. After the amendment of the legal and regulatory framework pursuant to the harmonization procedure, the VAT Service has already visited a number of VAT debtors to collect £29-£30 million, which is 50% of the delayed debts to the state. The 5-7 VAT groups have visited more than 1000 debtors, having safeguarded the payment or the settlement of the debts by 60%. The sums exceed £4.6 million. By the end of the campaign, the VAT representative will visit 2,5 thousand more debtors.

It is worth noting that although total debts to the VAT Service amount to £60 million, a large part of them concerns cases that are before justice, or the debtors are companies under liquidation or individuals that have been declared bankrupt.

So far, the VAT Service has seized properties in 3 cases only. According to StockWatch sources, this is mostly attributable to the threat of seizure at first, and then the seizure itself, despite the political decision for a “discreet treatment”.

StockWatch sources reveal that the VAT Service staff is currently working overtime to cover all cases in Cyprus.